IN THE NEWS
In 2003 some 16,000 identity frauds involved fraudsters either assuming the identity of dead people or impersonating the recently deceased. The figure for 2002 was 9,000 and for 2001, just 5,000. A staggering 27% of false identity frauds identified by the 200 plus Member organisations of CIFAS involved criminals adopting the identities of the dead.
The direct mail industry produced 10 billion items of mail in 2002, and it has been estimated that 22 million items were addressed to dead people. Identity theft has become the 21st century's most rapidly rising fraud type. Identity fraud and impersonation increased from 53,000 records in 2001 to 74,000 in 2002 and over 100,000 in 2003, an increase of 90%.
Source: CIFAS
Link: www.cifas.org.uk
Self-administered pension funds are losing over £200m annually as money continues to be claimed on behalf of dead pensioners, according to a recent study by BDO Stoy Hayward LLP.
The study, carried out by BDO's newly created pensions investigation service, estimated that £1bn has been claimed in the last ten years on behalf of dead pensioners. At any one time, pension funds will be making payments to about 70,000 deceased pensioners, it said.
Andrew Durant, head of BDO's fraud investigation team said: 'At a time when pension funds are having to stretch further on decreasing investment returns, it is more vital than ever that these claims are reigned in.
Source: BDO Stoy Hayward LLP
Link: www.bdo.co.uk/concealmentfraud
Identity fraud hurts the financial services industry. The Association for Payment Clearing Services (APACS) confirmed ID fraud on UK cards totalled £25m between June 2002 and June 2003.
Fraud on 'card-not-present' purchases has jumped by a third (33 per cent) over the last two years to £109.6 million, and is now the second-largest element of UK credit card fraud. This type of fraud occurs when neither the card nor its holder is present at the point-of-sale, as happens in telephone, fax, mail order and Internet transactions.
This crime involves using fraudulently obtained card details to make a purchase. Usually the details are taken from discarded receipts or copied down without the cardholder's knowledge. As with counterfeit fraud, the legitimate cardholder may not be aware of the fraud until a statement is received.
Source APACS November 2003
Link: www.cardwatch.org.uk
"Between April 2000 and
March 2001, the passport agendy detected 1,484 fraudulent applications
of which 301 used the identities of the deceased.“ Home
Office figures on crime in England and Wales Jan 2003
